MONTPELIER – The Department of Financial Regulation announced that Dairyland Insurance Co. has paid $15,853 in restitution to Vermont customers whose auto insurance damage claims were not evaluated properly.

An investigation by the department determined that Dairyland had inaccurately calculated the value of total vehicle losses for 11 claims between January and November 2011. In response, the company has agreed to implement new policies and procedures as well as additional training for all employees who handle Vermont total loss claims.

DFR Commissioner Susan L. Donegan was pleased with the corrective actions the company has promised to take.

“I appreciate Dairyland’s acknowledgment of the erroneous practices and I applaud its efforts to prevent it from happening in the future,” Donegan said.

“The department’s number one priority is Vermont consumers,” she said, “and this is a perfect example of how insurance laws and regulations guarantee fair treatment for all policyholders.”